Fed Beige Book finds labor and supply shortages are slowing U.S. economy
Updated: 2021-10-21 07:42:08 KST
The Federal Reserve say that, while the U.S. economy is still growing at a solid click, labor shortages and supply-chain bottlenecks are restricting growth, and causing high inflation.
According to the Fed's Beige Book Wednesday, a lack of workers and inability for companies to obtain parts and supplies is hurting the U.S. economy the most.
It cited labor shortages 26 times compared to six in January and supply-chain issues 37 times compared to just nine in the same period.
Neither issues were mentioned before the pandemic.
Despite shortages constraining economic growth, most businesses remain "cautiously optimistic" that conditions will improve in the months ahead.